And now We will learn how to detec when the market will be going Sideways. Please let Us look at the picture bellow :

If you look the Moving Avarage allready oscilated betwen the candlestick body and the SMA 30 (Green) is betwen the SMA 50 & SMA 100 Plus the slope its near flat, thats We know the market start to enter in the  Sideways situation.

After We learn how to detec the market will enter in the trending and or Sideways situation We will learn how to detect those sotiuation with help from Oscilator Indicators.

To Be Continue …

Today; We wil learn how to detec when the market will going turn agains the previous trend, now please check the picture bellow :

If you see the candle hit and close bellow (If Bullish condition)/above (Bearish Scenario) SMA 100 (The blue lines) more then 2 times; it will be the sign of the weakened previous trend. For Examples at the pictures above The market allready tested break and close bellow the SMA 100(Blue Lines) for the 3 times and not so long the  EUR/USD came in the Bearish situation..

To Be Continue …

Now We will continue to learn how to detect the healthy bearish trend by using 3 SMA from Hector De Ville …

The Healthy Bearish trend setup is indicated by :

For BEARISH Situation :

(1) The SMA 30 Must be bellow the SMA 50; and the SMA 50 must be bellow SMA 100 and all the slope must be going down.

(2) The Candle/barcharts must be retrace to up and touch not more above the SMA 50 (see the Red Circle at the picture bellow) and after touch the SMA 50 the candle must go back to down again.

After We know the healthy Bullish and bearish trend We want to learn how to detect the Sideways Market and when the market will be turn againts the previous trend.

To Be Continue …

Now We will learn how to detect the healthy  trend by using 3 SMA from Hector De Ville …

The Healthy trend setup is indicated by :

For BULLISH Situation :

(1) The SMA 30 Must be above the SMA 50; and the SMA 50 must be above SMA 100 and all the slope must be going up.

(2) The Candle/barcharts must be retrace to down and touch not more bellow the SMA 50 (see the Red Circle at the picture bellow) and after touch the SMA 50 must go back to up again.

So how the Bearish situation ?

To Be Continue …

Hector De Ville Multi Moving Avarage

OK; Now maybe you are now ask to Me why using Hector De Ville Multi Moving Avarage for detec the market trend (or ranging) ? The answer its simple … I like a simplicity and like Joe Ross said Simple is better. The Hector De Ville Multi Moving Avarage its so simpel and easy to use for detec the market trend, its very-very usefull.

Hector De Ville just only used 3 Moving Avarage : first; 30 Simple Moving Avarage by Close, second; 50 Simple Moving Avarage by Close, and third; Simple Moving Avarage 100 by Close that’s it He just only used this 3 moving avarage to look the healthy trend in the Forex Market in any timeframes.

Why he used this MA 30, 50, 100 by close ? Because base from his information many “Big Players” allready used this 3 MA in their charts. He didn’t used the cross of this 3 MA for entry position, but he just only look this 3 MA only for look the market healthy trend strength .  To Be Continue …

TS Hennessy STAR trading System Moving Avarage

A few days ago We allready learn how to detec the market will trending or ranging with only using a single indicators (red: SMA 50); now for today We will learn how to detec the market will be trending or ranging using multi Moving Avarage .

Nowdays many traders using a multi Moving Avarage to find a good and healthy trend both end to detetc the ranging situation too. Examples We know R.C. Shcaller used MA 4, 9, & 18; Donchian used MA 5, 20, & 60; Bill Williams with Smoothed Moving Avarage 13 Shift 8, 8 shift 5, and 5 shift 3 By HL/2 for his famous Alligator; Joe Dinapoli with his MA 3, 7, & 25 and many-many more.

Some traders only used two MA such 10 & 20; or used MA 5 & 12, etc; but another traders using many-many MA like Darryl Guppy; But for now We just focus with Hector De Ville Multi Moving Avarage . How’s Hectore De Ville,  setting his Moving Avarage, and the important things How he read the market trends with his Multi Moving Avarage, We can learn together at My next post  …

To Be Continue …

After We learn how to detec the ranging situation by using only SMA (50), now We want to learn how to detec the trending situaition in the Forex Maret just by using SMA (50)

For the Downtrend situation :

The Criteria is :

(1) The slope of the SMA (50) must be going down and not flat (Look at blue arrow)

(2) The Open – Close from the Candlestick must be bellow the SMA (50) accept the Shaddow/Tails/Wick can penetrate above SMA (50) line; BUT the Open-Close level MUST be bellow the SMA (50) line.

For the Uptrend situation :

(1) The slope of the SMA (50) must be going up and not flat (Look at blue arrow)

(2) The Open – Close from the Candlestick must be above the SMA (50) accept the Shaddow/Tails/Wick can penetrate above SMA (50) line; BUT the Open-Close level MUST be above the SMA (50) line.

For now We allready now how to detec the trending or ranging situation in the Forex Market just by using the Simple Moving Avarage Periode 50 by Close. Next week We will studies how to detec the trending or ranging situation using multile Moving Avarage.

Have a nice weekend and happy Trading .

To Be Continue …

Secondly;

When you see the Moving Avarage (50) have allready oscillation and hit the body of the candlestick or bar like the blue circle at the pictures bellow more than 2 or 3 times it will be the sign for the market will enter into the Sideways situation.

So this two types way are the easy way to detec the market will be enter into congestion or sideways situation, once again, the bigger timeframes such H1, H4, Daily, Weekly, or Monthly will be a better signal and result rather the smalest timeframes like m1, m5, m15, & m30 because you’ll be find to many noise in the market at the smallest timeframe .

To Be Continue …

One of the Popular way to detec the trending or ranging situation in the market  by using Moving Avarage.

There’s will be two populars ways to used Moving Avarage as a  Trending or Ranging detector  in the market :

(1) Single Moving Avarage.

Ussually the traders used a Simple Moving Avarage Periode 50 By close to detec the trending or ranging situation in the market in every timeframe BUT the more bigger timeframe they will give more accurate signal, the smallest Timeframe We used will give more whipssawed signal and less accurate because at smalest timeframes to many “market noise” that cause give a wrong signal.

(1.a) The Ranging Situation

First;

If  you look the SMA (50) slope its flat it will be the sign for the market enter into the sideways situation. Please look the pictures bellow :

To Be Continue …

As We know, all the trading system event We using a manual or automatic only needs to detec and / or capture When the market will be going to trending or ranging, depends the system those are traders used as a  Trend Followers or a Counter Trend Strategies. Beyond all the advantages and benefits of both strategies the important things is how to detec when the market will be going trending situation or ranging situation.

If he/she a trend follwers they must find the market in the trending situation to maximaze gain from their position.

In the opposite sites if he/she a Counter Trend They must find the ranging market situation .

If  We read the above statement, in the theory like so easy; but in the real situation its to hard, actually very hard to implement.

Now the Question is, are they any other way to detec for those two condition in the market (the tranding and ranging situation) ? …

To Be Continue …